To Calculate GDP by the Expenditure Method,one Must Add

question 140

Multiple Choice

To calculate GDP by the expenditure method,one must add

• A)wages,rents,interest,and profits.
• B)consumption spending,investment spending,government spending,and net exports.
• C)consumption spending,investment spending,government spending,and exports.
• D)labor,natural resources,entrepreneurship,and capital.

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Definitions:

Sell

To sell involves the exchange of a product or service for money, constituting a basic economic transaction between a provider and a receiver.

Fixed Maintenance Cost

The portion of total maintenance costs that does not fluctuate with changes in activity level or output.

Machine-Hours

The total hours that a machine is operated over a specific period of time, used in allocating manufacturing costs.

Relevant Range

The scope of operations in which the beliefs regarding constant and fluctuating cost patterns hold true.